Products and services harness data to elevate safety and organizational performance

Calgary, Canada--(BUSINESS WIRE)--$BLN #TSX--Blackline Safety Corp. (TSX: BLN), a global leader of gas detection and connected safety solutions, today announced it will be a featured exhibitor in the Canadian Pavilion at the 2021 ADIPEC Exhibition. The annual event, which takes place November 15-18 in Abu Dhabi, United Arab Emirates, brings together professionals across the energy sector to learn, network and discuss the industry’s latest best practices and technologies. Blackline will present its solutions and services that drive safety and enhance organizational performance.

“Over the last 18 months, we have invested in product enhancements and innovations that have helped our customers boost the safety, efficiency and productivity of their organization,” said Cody Slater, CEO and Chair of Blackline Safety.

“We look forward to safely coming together to share what we have learned and connect with others who are also committed to helping people return home safely every day.”

The company recently announced a new office will be opening in Dubai to support international growth initiatives. The facility will be fundamental in allowing the business to scale while delivering superior service to customers and distributors in those regions.

At ADIPEC, attendees can preview, in-person, Blackline Safety’s solutions, including:

• Blackline Live & Blackline Analytics, award-winning connected safety software that provides proximity messaging alerts to keep people and teams safer in the event of an emergency. Now featuring convenient Single Sign-On.
• G7 EXO Area Monitor, a portable area gas monitor that offers rapid deployment, configuration flexibility and versatile mounting systems for placement anywhere. G7 EXO also offers an optional satellite module for use in areas with poor cellular connectivity, and will soon include real-time gas plume modeling in partnership with Vlahi Systems for accurate and automated mapping.
• G7 Wearables, convenient, versatile and easy-to-use wearable devices for personal gas detection and lone worker monitoring with cellular connectivity. G7 wearables offer built-in features including a clock, timer, powering down warnings, false alarm features and non-emergency alert tones. Automatic firmware updates help ensure compliance without the need for manual checks.

The G7 EXO, which previously won the OH&S 2021 New Product of the Year Award and gold at INT Design’s 2021 GRANDS PRIX DU DESIGN awards, was also a finalist in this year’s Best in Show New Product Awards Showcase at the recent National Safety Congress & Exhibition in Orlando, Florida. This product is the first direct-to-cloud connected area monitor with integrated 4G communications and delivers unmatched connectivity and visibility into an entire worksite.

Blackline Safety can be found at stand #2460 in the Canadian Pavilion. For those unable to attend this year’s ADIPEC Exhibition, please visit here for Blackline Safety news and product tours.

About Blackline Safety

Blackline Safety is a global connected safety leader that helps to ensure every worker gets their job done and returns home safely each day. Blackline provides wearable safety technology, personal and area gas monitoring, cloud-connected software and data analytics to meet demanding safety challenges and increase productivity of organizations with coverage in more than 100 countries. Blackline Safety wearables provide a lifeline to tens of thousands of people, having reported over 161 billion data-points and initiated over five million emergency responses. Armed with cellular and satellite connectivity, we ensure that help is never too far away. For more information, visit www.BlacklineSafety.com and connect with us on Facebook, Twitter, LinkedIn and Instagram.

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Investment underscores KKR’s commitment to supporting Korean businesses’ growth strategies

SEOUL, South Korea--(BUSINESS WIRE)--KKR, a leading global investment firm, today announced that KKR has acquired from South Korean energy company SK E&S (the “Company”) KRW2.4 trillion (approximately US$2 billion) worth of SK E&S’ newly issued redeemable convertible preferred shares. The investment will provide KKR with an opportunity to receive cash or in-kind redemption as an option for repayment in the future paired with the possibility of converting into common shares of SK E&S. SK E&S will use the funding to accelerate its growth and transformation into a global clean energy solution provider.

Established in 1999, SK E&S is a member of the SK Group, one of South Korea’s largest conglomerates. The Company engages in a range of businesses, including upstream such as overseas gas field development and downstream such as power generation, district energy, and city gas distribution. SK E&S has been operating a city gas business which distributes natural gas to customers in cities and rural areas across eight regions in South Korea. It is developing 2.5GW worth of renewable energy assets, and is expanding its portfolio via large-scale investments in companies including Plug Power, Key Capture Energy and Rev Renewables. In 2021, SK E&S outlined its goal to become a leading global clean energy solution provider by transitioning its portfolio to focus on hydrogen as well as renewable energy and related solutions.

Keith Kim from KKR’s Infrastructure team said, “KKR is excited by this unique opportunity to join SK E&S in its journey to accelerate its growth and transformation into a global clean energy solution provider. KKR is additionally pleased to further expand its valued relationship with the SK Group. Sustainability continues to be at the top of its minds at KKR when reviewing and executing investments, which is why KKR is excited to invest together with leading businesses such as SK E&S that seek to provide sustainable energy solutions.”

The transaction marks KKR’s latest investment in South Korea and builds on its track record as an active investor across asset classes including infrastructure, private equity, real estate and credit. Also, KKR, in strategic partnership with TY Holdings, has successfully launched ECORBIT, a leading waste management platform created through the merger of two market leaders: Eco Solutions Group and TSK Corporation. Looking ahead, KKR has identified energy transition and digital transformation as key drivers of Korean infrastructure opportunities. The team also looks to utilize its invested platforms in waste management and renewable energy to scale up through bolt-on acquisitions.

“Korea is a key part of KKR’s Asia infrastructure strategy. It is home to many companies with great potential for growth both domestically and abroad,” said David Luboff, Head of Asia Pacific Infrastructure at KKR. “We look to continue investing in compelling infrastructure opportunities where we can leverage KKR’s global experience and networks to partner with Korean businesses to achieve their transformations.”

KKR made its investment from its Asia Pacific Infrastructure Fund.

About KKR

KKR is a leading global investment firm that offers alternative asset management and capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life, and reinsurance products under the management of The Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

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This partnership will help organizations make meaningful progress on their net zero commitments through standardized, certifiable, and verifiable processes

GLASGOW, Scotland--(BUSINESS WIRE)--Envision Digital International Pte Ltd (“Envision Digital”), a Singapore-headquartered global Artificial Intelligence of Things (AIoT) technology leader for net zero, and Bureau Veritas, a world leader in testing, inspection and certification, will jointly develop net zero technology solutions helping businesses, organisations and governments around the world drive climate action, make meaningful progress on their net zero commitments, and do so in a standardized, certifiable, and verifiable manner.

Lei Zhang, Founder and CEO of Envision Group, commented:

““Through strategic partnership with Bureau Veritas, our best practices of digital solution will help more companies around the world accelerate their net zero transition.”

Didier Michaud-Daniel, CEO of Bureau Veritas, added:

“Our role as an independent third party is essential to shape trust between economic players. Through our BV Green Line of services and solutions, we support our 400,000 clients to be more efficient, more methodical and more trustworthy in their journey towards more sustainable business and a more sustainable world. Together with Envision Digital, we will provide organizations with end-to-end solutions combining our respective strengths focused on achieving clients’ net-zero goals, and thus contribute to a positive impact on people and the planet.”

While the number of organizations making net zero pledges has increased, there is also growing concern about the credibility of commitments that lean heavily on carbon offsets. In addition, increasing calls for greater transparency and accountability in emissions reporting have added another layer of difficulty on an organization’s road to net zero. The combination of Envision Digital’s AIoT technology and Bureau Veritas’ unrivalled expertise in sustainability certification and auditing processes will enable organisations to better align with internationally recognized carbon-neutral standards.

About Bureau Veritas
Bureau Veritas is a world leader in laboratory testing, inspection and certification services. Created in 1828, the Group has more than 78,000 employees located in more than 1,600 offices and laboratories around the globe. Bureau Veritas helps its 400,000 clients improve their performance by offering services and innovative solutions in order to ensure that their assets, products, infrastructure and processes meet standards and regulations in terms of quality, health and safety, environmental protection and social responsibility.
Bureau Veritas is listed on Euronext Paris and belongs to the Next 20 index.
Compartment A, ISIN code FR 0006174348, stock symbol: BVI.
For more information, visit www.bureauveritas.com, and follow us on Twitter (@bureauveritas) and LinkedIn.

Our information is certified with blockchain technology.
Check that this press release is genuine at www.wiztrust.com

About Envision Digital
Envision Digital is committed to becoming the world’s leading net zero technology partner for enterprises, governments, and cities alike. Its world-class AIoT technology helps governments and companies across the world accelerate progress toward a net zero future and improve their citizens’ quality of life. Having established itself as a leading solutions provider for intelligent renewable energy generation, consumption efficiency and smart and flexible storage, Envision Digital has extended its capabilities beyond energy to enable and optimise applications – notably in smart renewables, city infrastructure and carbon management solutions.

EnOS™, Envision Digital’s proprietary AIoT operating system, connects and manages more than 110 million smart devices and 360 gigawatts of energy assets globally and with Envision Ark, it has earned Envision Group a place on Fortune’s 2021 Change The World list. Envision Digital’s growing ecosystem of more than 360 customers and partners spans 10 industries and includes Accenture, Amazon Web Services, GovTech Singapore, Keppel Corporation, Microsoft, Nissan, PTT, Solarvest, Total and ST Engineering. The company has close to 800 employees and 12 offices across China, France, Japan, Germany, Norway, the Netherlands, the United Kingdom, and the United States, with headquarters in Singapore.

For more information, please visit www.envision-digital.com/

ANALYST/INVESTOR

Laurent Brunelle
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Largest U.S. Offshore Wind Farm to supply energy to 660,000 households

ANTWERP, Belgium & BOSTON--(BUSINESS WIRE)--DEME Offshore US LLC (“DEME Offshore” or “the Company”), the world’s leading offshore wind farm contractor, today announced that it has secured a +$1.1 Billion Balance of Plant (BoP) contract for the construction of the Coastal Virginia Offshore Wind (CVOW) project in a Consortium with Prysmian. The contract, with a total value amounting to +$1.9 Billion, has been awarded by Dominion Energy Virginia, a subsidiary of Dominion Energy Inc., to a consortium made up of DEME Group and Prysmian.

The agreement is the largest offshore wind installation contract ever awarded in the U.S. Upon expected completion in 2026, the CVOW will be the largest wind farm in the U.S., and one of the largest in the world.

The CVOW project will play a crucial role in helping the Commonwealth of Virginia meet its goal of becoming carbon neutral by 2045. The project is located at approximately 27 miles (43 km) off the coast of Virginia Beach, VA, US. The 2.6GW offshore wind farm will be capable of supplying clean energy to as many as 660,000 households, while reducing carbon emissions by over 2 million tons per year.

DEME Offshore’s CVOW BoP contract includes the transport and installation of 176 monopile transition piece foundations, three offshore substations, scour protection and the supply and installation of export and inter-array submarine cable systems. DEME Offshore will oversee the complete offshore installation works for the foundations, substations, infield cables, as well as part of the export cables. For the fulfilment of the project, DEME Offshore entered in a consortium with Prysmian, the world leader in underwater energy cable systems.

“DEME Offshore brings valuable industry knowledge and years of experience to our Coastal Virginia Offshore Wind project,” says Joshua Bennett, Dominion Energy vice president of offshore wind. “We look forward to working with DEME Offshore to advance offshore wind off the coast of Virginia as we lead the Commonwealth’s clean-energy transition.”

Luc Vandenbulcke, CEO, DEME Group comments: “We are extremely proud to be playing such a significant role in this dynamic and growing U.S. market and seeing our efforts bring clean energy to American households. Following the award of the Vineyard offshore wind project installation works for foundations, substation and wind turbines and South Fork cable installation works, this partnership with Dominion Energy is an endorsement of our expertise and track record in enabling the energy transition process in the U.S. This contract further reaffirms DEME’s position as the pre-eminent contractor in the offshore wind installation industry both in the U.S. and globally.”

“We are grateful for Dominion Energy for the opportunity to launch this consortium. By working closely with our partners at Prysmian Powerlink, we will jointly support the project during the design and preparation phase with our joint expertise, and ultimately deliver on the promise of offshore wind power to the benefit of Virginia residents, businesses, and families,” said Jan Klaassen, Director, DEME Offshore US LLC.

Sid Florey, President, DEME Offshore US, commented: “This significant contract will allow us to further build out our US footprint, working with key partners and the local supply chain to grow jobs. We are pleased to continue supporting the growth of the U.S. offshore wind industry and demonstrating DEME’s commitment to this growing market.”

DEME Group has spent many years building up its presence in the U.S. market and established DEME Offshore US LLC in Boston in 2019. Today’s CVOW announcement is a fast follow on from earlier contract awards for Vineyard Wind 1 off the coast of Massachusetts, the first utility-scale offshore wind project in the U.S., and the South Fork offshore wind farm off the coast of Long Island. Upon expected completion in 2023, these projects will generate clean, renewable, affordable energy for over 400,000 homes and businesses in Massachusetts and over 70,000 homes on Long Island, while reducing carbon emissions by 1.6 million tons per year and 300,000 tons per year, respectively.

About DEME Offshore US LLC

DEME Offshore US LLC is a US company based in Boston, Massachusetts. DEME Offshore US LLC will source the installation vessel and experts from DEME Offshore, a member of the DEME Group. DEME Group, a world leader in the specialized fields of dredging, solutions for the offshore energy industry, infra marine and environmental works. The company can build on more than 140 years of know-how and is a front runner in innovation and new technologies. DEME’s vision is to work towards a sustainable future by offering solutions for global challenges: a rising sea level, a growing population, reduction of CO2 emissions, polluted rivers and soils and the scarcity of natural resources. DEME can rely on 5,200 highly skilled professionals and a modern fleet of over 100 vessels.

Wouter Piepers
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Vicky Cosemans
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Q3 Revenue of $207.2 million; an increase of 3.5% year-over-year

Q3 GAAP Gross Margin of 17.8%; Non-GAAP Gross Margin of 19.2%

Record number of third quarter acceptances

Successfully launched Bloom Electrolyzer and Hydrogen Energy Server

SAN JOSE, Calif.--(BUSINESS WIRE)--$BE #earnings--Bloom Energy Corporation (NYSE: BE) today announced financial results for its third quarter ended September 30, 2021.

Third Quarter Highlights

• Record acceptances of 353 systems in the third quarter of 2021, an increase of 12.4% versus the third quarter of 2020.
• Revenue of $207.2 million in the third quarter of 2021, an increase of 3.5% compared to revenue of $200.3 million in the third quarter of 2020. Revenue up 11.4% excluding a $14.2 million prior year one-time revenue benefit that did not repeat.
• Launched commercial availability of Bloom Electrolyzer and Hydrogen Energy Server starting in 2022 to establish leadership position in unlocking a net zero emissions future.
• Further buildout of our gigawatt factory in Fremont, California to meet future customer demand is on schedule.
• On October 25, 2021, Bloom Energy and SK ecoplant announced an expansion of their strategic partnership to accelerate hydrogen commercialization.

Commenting on the third quarter, KR Sridhar, founder, chairman, and CEO of Bloom Energy said, “We are excited about our new and enhanced strategic partnership with SK ecoplant, which further validates our technology. It also provides real revenue for the long term and an equity investment in the near term that will enable us to accelerate our growth in our current products and hydrogen electrolyzers around the world. As we look at the challenges of sustainability, resiliency, and cost predictability that our customers face, we are confident that these are not ‘either / or’ choices. They are “and” propositions, which we are best positioned to solve with our fuel cell technology platform.”

Greg Cameron, executive vice president and CFO of Bloom Energy added, “Bloom Energy is executing well in a challenging environment. We achieved record third quarter acceptances, expanded our hydrogen product offering and are continuing to build our manufacturing capacity. Our recently announced expansion of the SK ecoplant partnership provides the capability to accelerate investment in our expanding platform.”

Summary of Key Financial Metrics

Preliminary Summary GAAP Profit and Loss Statements

Preliminary Summary Non-GAAP Financial Information¹

Acceptances

We use acceptances as a key operating metric to measure the volume of our completed Energy Server installation activity from period to period. Acceptance typically occurs upon transfer of control to our customers, which depending on the contract terms is when the system is shipped and delivered to our customers, when the system is shipped and delivered and is physically ready for startup and commissioning, or when the system is shipped and delivered and is turned on and producing power.

Balance Sheet Highlights

Bloom Energy’s cash position, including restricted cash, as of September 30, 2021 was $319.9 million, compared to $504.4 million as of September 30, 2020. Unrestricted cash as of September 30, 2021 was $121.9 million, compared to $325.2 million as of September 30, 2020. Bloom ended the third quarter of 2021 with $516.0 million of total debt, a decrease of $3.2 million from the second quarter of 2021. Non-recourse debt as of September 30, 2021 was $216.0 million, compared to $219.2 million as of June 30, 2021.

Conference Call Details

Bloom will host a conference call today, November 4, 2021, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss its financial results. To participate in the live call, analysts and investors may call +1 (833) 520-0063 and enter the passcode: 6351508. Those calling from outside the United States may dial +1 (236) 714-2197 and enter the same passcode: 6351508. A simultaneous live webcast will also be available under the Investor Relations section on our website at https://investor.bloomenergy.com/. Following the webcast, an archived version will be available on Bloom’s website for one year. A telephonic replay of the conference call will be available for one week following the call, by dialing +1 (800) 585-8367 or +1 (416) 621-4642 and entering passcode 6351508.

Use of Non-GAAP Financial Measures

This release includes certain non-GAAP financial measures as defined by the rules and regulations of the Securities and Exchange Commission (SEC). These non-GAAP financial measures are in addition to, and not a substitute for or superior to, measures of financial performance prepared in accordance with U.S. GAAP. There are a number of limitations related to the use of these non-GAAP financial measures versus their nearest GAAP equivalents. For example, other companies may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison. Bloom urges you to review the reconciliations of its non-GAAP financial measures to the most directly comparable U.S. GAAP financial measures set forth in this press release, and not to rely on any single financial measure to evaluate our business. With respect to Bloom’s expectations regarding its 2021 Outlook, Bloom is not able to provide a quantitative reconciliation of non-GAAP gross margin and non-GAAP operating margin measures to the corresponding GAAP measures without unreasonable efforts.

About Bloom Energy

Bloom Energy’s mission is to make clean, reliable energy affordable for everyone in the world. Bloom’s product, the Bloom Energy Server, delivers highly reliable and resilient, always-on electric power that is clean, cost-effective, and ideal for microgrid applications. Bloom’s customers include many Fortune 100 companies and leaders in manufacturing, data centers, healthcare, retail, higher education, utilities, and other industries. For more information, visit www.bloomenergy.com.

Forward-Looking Statements

This press release contains certain forward-looking statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “should,” “will” and “would” or the negative of these words or similar terms or expressions that concern Bloom’s expectations, strategy, priorities, plans or intentions. These forward-looking statements include, but are not limited to, Bloom’s ability to accelerate its growth with its current products and hydrogen electrolyzers around the world; Bloom’s expectations regarding the success of its strategic partnership with SK ecoplant; Bloom’s expectations regarding its fuel cell technology platform; and Bloom’s financial outlook for 2021. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual future events or results due to a variety of factors including, but not limited to, Bloom’s limited operating history; the emerging nature of the distributed generation market and rapidly evolving market trends; the significant losses Bloom has incurred in the past; the significant upfront costs of Bloom’s Energy Servers and Bloom’s ability to secure financing for its products; Bloom’s ability to drive cost reductions and to successfully mitigate against potential price increases; Bloom’s ability to service its existing debt obligations; Bloom’s ability to be successful in new markets; the success of the strategic partnership with SK ecoplant in the United States and international markets; timing and development of an ecosystem for the hydrogen market, including in the Korean market; continued incentives in the South Korean market; the timing and pace of adoption of hydrogen for stationary power; the risk of manufacturing defects; the accuracy of Bloom’s estimates regarding the useful life of its Energy Servers; delays in the development and introduction of new products or updates to existing products; the impact of the COVID-19 pandemic on the global economy and its potential impact on Bloom’s business; the availability of rebates, tax credits and other tax benefits; Bloom’s reliance on tax equity financing arrangements; Bloom’s reliance upon a limited number of customers; Bloom’s lengthy sales and installation cycle, construction, utility interconnection and other delays and cost overruns related to the installation of its Energy Servers; business and economic conditions and growth trends in commercial and industrial energy markets; global economic conditions and uncertainties in the geopolitical environment; overall electricity generation market; Bloom’s ability to protect its intellectual property; and other risks and uncertainties detailed in Bloom’s SEC filings from time to time. More information on potential factors that may impact Bloom’s business are set forth in Bloom’s periodic reports filed with the SEC, including our Quarterly Report on Form 10-Q for the quarter ended on June 30, 2021 as filed with the SEC on August 6, 2021, as well as subsequent reports filed with or furnished to the SEC from time to time. These reports are available on Bloom’s website at www.bloomenergy.com and the SEC’s website at www.sec.gov. Bloom assumes no obligation to, and does not currently intend to, update any such forward-looking statements.

The Investor Relations section of Bloom’s website at investor.bloomenergy.com contains a significant amount of information about Bloom Energy, including financial and other information for investors. Bloom encourages investors to visit this website from time to time, as information is updated and new information is posted.

Reconciliation of GAAP to Non-GAAP Financial Measures (preliminary & unaudited) (in thousands)

Gross Profit and Gross Margin to Gross Profit Excluding Stock-Based Compensation and Gross Margin Excluding Stock-Based Compensation

Gross profit and gross margin excluding stock-based compensation (SBC) are supplemental measures of operating performance that do not represent and should not be considered alternatives to gross profit or gross margin, as determined under GAAP. These measures remove the impact of stock-based compensation. We believe that gross profit and gross margin excluding stock-based compensation supplement the GAAP measures and enable us to more effectively evaluate our performance period-over-period. A reconciliation of gross profit and gross margin excluding stock-based compensation to gross profit and gross margin, the most directly comparable GAAP measures, and the computation of gross margin excluding stock-based compensation are as follows:

Cost of Revenue and Operating Expenses to Cost of Revenue and Operating Expenses Excluding Stock-Based Compensation

Cost of revenue and operating expenses excluding stock-based compensation are a supplemental measure of operating performance that does not represent and should not be considered an alternative to cost of revenue and operating expenses, as determined under GAAP. This measure removes the impact of stock-based compensation. We believe that cost of revenue and operating expenses excluding stock-based compensation supplements the GAAP measure and enables us to more effectively evaluate our performance period-over-period. A reconciliation of cost of revenue and operating expenses excluding stock-based compensation to cost of revenue and operating expenses, the most directly comparable GAAP measure, are as follows:

Operating Loss to Operating Income (Loss) Excluding Stock-Based Compensation

Operating loss excluding stock-based compensation is a supplemental measure of operating performance that does not represent and should not be considered an alternative to operating loss, as determined under GAAP. This measure removes the impact of stock-based compensation. We believe that operating income (loss) excluding stock-based compensation supplements the GAAP measure and enables us to more effectively evaluate our performance period-over-period. A reconciliation of operating income (loss) excluding stock-based compensation to operating loss, the most directly comparable GAAP measure, and the computation of operating income (loss) excluding stock-based compensation are as follows:

Net Loss to Adjusted Net Loss and Computation of Adjusted Net Loss per Share (EPS)

Adjusted net loss and adjusted net loss per share are supplemental measures of operating performance that do not represent and should not be considered alternatives to net loss and net loss per share, as determined under GAAP. These measures remove the impact of the non-controlling interests associated with our legacy PPA entities, the revaluation of derivatives, fair market value adjustment for the PPA derivatives, and stock-based compensation, all of which are non-cash charges. We believe that adjusted net loss and adjusted net loss per share supplement GAAP measures and enable us to more effectively evaluate our performance period-over-period. A reconciliation of adjusted net loss to net loss, the most directly comparable GAAP measure, and the computation of adjusted net loss per share are as follows:

Investor Relations:
Ed Vallejo
Bloom Energy
+1 (267) 370-9717
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Bloom Energy
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SHANGHAI, China--(BUSINESS WIRE)--The China International Import Expo (CIIE), the first national-level import-themed professional trade fair in the world, successfully led off at the National Exhibition and Convention Center (Shanghai) on Nov 5. Initiated by the Chinese government in 2018, the CIIE continues to be a significant platform for the nation’s opening-up and enhancing international economic cooperation and free trade.

The CIIE has over the years become more well-organized, professional, and digital.

Featuring a wider range of industries, the fourth CIIE has attracted 3,000 offline exhibitors from 127 countries and regions to take part in the Business Exhibition. Three international organizations and 58 countries from five continents, especially those involved in the Belt and Road Initiative, are participating in the Online Country Exhibition.

The Business Exhibition comprises exhibition areas Food and Agricultural Products, Automobile, Intelligent Industry & Information Technology, Consumer Goods, Medical Equipment & Healthcare Products, and Trade in Services. Thirteen themed subsections have also been set up to showcase the latest products and innovations related to low-carbon energy and environmental protection.

The total exhibition area of this year’s CIIE has been expanded to 366,000 square meters. More than 80 percent of Fortune Global 500 and industry-leading companies from last year’s CIIE are returning for this latest edition and will showcase products that are making either their global or regional debuts. These companies include the world’s top three auction houses, top three fashion and luxury consumable groups, top four grain traders, top 10 automobile groups, and top 10 medical device enterprises.

More businesses from countries along the Belt and Road, Central and Eastern European countries, and LDCs have also signed up for the exhibition.

This year marks the 20th anniversary of China’s accession to the World Trade Organization. To mark this occasion, the Hongqiao International Economic Forum will be holding a high-level forum themed “Mutual Benefit and Win-Win Solution for a Shared Future” to showcase China’s achievements in opening up 20 years and its confidence in fulfilling its higher-level opening-up goal. The forum will also publish the “World Opening Index” which evaluates the degree of opening-up in 129 world economies since 2008.

At this critical juncture in the global fight against COVID-19 and world economic recovery, CIIE would demonstrate China's determination to promote sustainable world economic development, globalization and build a new development paradigm for its economy and society.

Nie Qingxin
Tel.: 0086-21-67008870/67008988

NEWPORT BEACH, Calif.--(BUSINESS WIRE)--Clean Energy Fuels Corp. (NASDAQ: CLNE) (“Clean Energy” or the “Company”) today announced its operating results for the third quarter of 2021.

Andrew J. Littlefair, Clean Energy’s President and Chief Executive Officer, stated “Volumes have increased as the economy continues to open and as we see more Amazon trucks fueling across our network. I look forward to seeing my daily reports that show such a big fleet utilizing our network and conducting their transportation in the cleanest way we believe possible. We’re also moving into the marine sector with our new customer Pasha and its brand-new LNG ships, which we expect to be an important and significant improvement to their carbon profile. Our expansion into owning and developing dairy RNG production projects made solid progress with our JV’s. Between the demand side growth with new large fleets like Amazon, and our investment in additional RNG supply beginning to see momentum, our team is executing on all cylinders to be the continued leader in providing low carbon solutions for customers.”

The Company delivered 104.2 million gallons in the third quarter of 2021, a 6.7% increase from 97.7 million in the third quarter of 2020. This increase was principally from the continued return to a more normal travel and goods movements environment primarily in our airports and public transit customer markets, which were negatively impacted by the COVID-19 pandemic in 2020. Renewable natural gas (“RNG”) delivered was 42.2 million gallons in the third quarter of 2021, a 5% increase compared to the third quarter of 2020.

The Company’s revenue for the third quarter of 2021 was $86.1 million, an increase of 21.5% compared to $70.9 million for the third quarter of 2020. Revenue for the third quarter of 2021 included non-cash stock-based sales incentive contra-revenue charges (“Amazon warrant charges”) related to the warrant issued to Amazon.com NV Investment Holdings LLC (the “Amazon Warrant”) of $2.2 million. Revenue for the third quarter of 2021 also included an unrealized gain of $0.3 million on commodity swap and customer fueling contracts relating to the Company’s Zero Now truck financing program, compared to an unrealized loss of $0.1 million in the third quarter of 2020. Excluding the effects of the Amazon warrant charges and the commodity swap and customer fueling contracts unrealized gains and losses, revenue for the third quarter of 2021 increased by 23.9% to $88.0 million compared to $71.0 million for the third quarter of 2020. This increase in revenue was principally due to higher effective fuel prices resulting from higher natural gas prices, a favorable fuel price mix, which is based on the variation of fuel types and locations where we deliver fuel, and an increase in the number of gallons delivered. Station construction revenue was $2.6 million for the third quarter of 2021 compared to $8.8 million for the third quarter of 2020.

The Company’s revenue for the nine months ended September 30, 2021 was $163.7 million, a decrease of 24.5% compared to $216.8 million for the nine months ended September 30, 2020. Revenue for the nine months ended September 30, 2021 included Amazon warrant charges of $80.2 million. Revenue for the nine months ended September 30, 2021 also included an unrealized loss of $2.2 million on commodity swap and customer fueling contracts relating to the Company’s Zero Now truck financing program, compared to an unrealized gain of $4.0 million in the nine months ended September 30, 2020. Excluding the effects of the Amazon warrant charges and the commodity swap and customer fueling contracts unrealized gains and losses, revenue for the nine months ended September 30, 2021 increased by 15.7% to $246.2 million compared to $212.8 million for the nine months ended September 30, 2020. This increase in revenue was principally due to higher effective fuel prices resulting from higher natural gas prices, a favorable fuel price mix, which is based on the variation of fuel types and locations where we deliver fuel, and an increase in the number of gallons delivered. Station construction revenue was $13.2 million for the nine months ended September 30, 2021, compared to $19.6 million for the nine months ended September 30, 2020.

On a GAAP (as defined below) basis, net loss attributable to Clean Energy for the third quarter of 2021 was $(3.9) million, or $(0.02) per share, compared to $(2.3) million, or $(0.01) per share, for the third quarter of 2020. The third quarter of 2021 was negatively affected by the Amazon warrant charges.

On a GAAP basis, net loss attributable to Clean Energy for the nine months ended September 30, 2021, was $(90.8) million, or $(0.43) per share, compared to $(7.3) million, or $(0.04) per share, for the nine months ended September 30, 2020. The nine months ended September 30, 2021 was negatively affected by the Amazon warrant charges and the unrealized loss on commodity swap and customer fueling contracts, while the comparable 2020 period was positively affected by the unrealized gain on commodity swap and customer fueling contracts.

Non-GAAP income per share and Adjusted EBITDA (each as defined below) for the third quarter of 2021 was $0.01 and $13.4 million, respectively. Non-GAAP loss per share and Adjusted EBITDA for the third quarter of 2020 was $(0.01) and $11.0 million, respectively.

Non-GAAP income per share and Adjusted EBITDA for the nine months ended September 30, 2021 was $0.01 and $39.0 million, respectively. Non-GAAP loss per share and Adjusted EBITDA for the nine months ended September 30, 2020 was $(0.04) and $31.5 million, respectively.

Non-GAAP income (loss) per share and Adjusted EBITDA are described below and reconciled to GAAP net income (loss) per share attributable to Clean Energy and GAAP net income (loss) attributable to Clean Energy, respectively.

Non-GAAP Financial Measures

To supplement the Company’s unaudited condensed consolidated financial statements presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”), the Company uses non-GAAP financial measures that it calls non-GAAP income (loss) per share (“non-GAAP income (loss) per share”) and adjusted EBITDA (“Adjusted EBITDA”). Management presents non-GAAP income (loss) per share and Adjusted EBITDA because it believes these measures provide meaningful supplemental information about the Company’s performance, for the following reasons: (1) these measures allow for greater transparency with respect to key metrics used by management to assess the Company’s operating performance and make financial and operational decisions; (2) these measures exclude the effect of items that management believes are not directly attributable to the Company’s core operating performance and may obscure trends in the business; and (3) these measures are used by institutional investors and the analyst community to help analyze the Company’s business. In future quarters, the Company may adjust for other expenditures, charges or gains to present non-GAAP financial measures that the Company’s management believes are indicative of the Company’s core operating performance.

Non-GAAP financial measures are limited as an analytical tool and should not be considered in isolation from, or as a substitute for, the Company’s GAAP results. The Company expects to continue reporting non-GAAP financial measures, adjusting for the items described below (and/or other items that may arise in the future as the Company’s management deems appropriate), and the Company expects to continue to incur expenses, charges or gains like the non-GAAP adjustments described below. Accordingly, unless expressly stated otherwise, the exclusion of these and other similar items in the presentation of non-GAAP financial measures should not be construed as an inference that these costs are unusual, infrequent, or non-recurring. Non-GAAP income (loss) per share and Adjusted EBITDA are not recognized terms under GAAP and do not purport to be an alternative to GAAP income (loss), GAAP income (loss) per share or any other GAAP measure as an indicator of operating performance. Moreover, because not all companies use identical measures and calculations, the Company’s presentation of non-GAAP income (loss) per share and Adjusted EBITDA may not be comparable to other similarly titled measures used by other companies.

Non-GAAP Income (Loss) Per Share

Non-GAAP income (loss) per share, which the Company presents as a non-GAAP measure of its performance, is defined as net income (loss) attributable to Clean Energy Fuels Corp., plus Amazon warrant charges, plus stock-based compensation expense, plus (minus) loss (income) from the SAFE&CEC S.r.l. equity method investment, and plus (minus) any loss (gain) from changes in the fair value of derivative instruments, the total of which is divided by the Company’s weighted-average common shares outstanding on a diluted basis. The Company’s management believes excluding non-cash expenses related to the Amazon warrant charges provides useful information to investors regarding the Company’s performance because the Amazon warrant charges are measured based upon a fair value determined using a variety of assumptions and estimates, and the Amazon warrant charges do not impact the Company’s operating cash flows related to the delivery and sale of vehicle fuel to its customer. The Company’s management believes excluding non-cash expenses related to stock-based compensation provides useful information to investors regarding the Company’s performance because of the varying available valuation methodologies, the volatility of the expense (which depends on market forces outside of management’s control), the subjectivity of the assumptions and the variety of award types that a company can use, which may obscure trends in a company’s core operating performance. Similarly, the Company believes excluding the non-cash results from the SAFE&CEC S.r.l. equity method investment is useful to investors because these charges are not part of or representative of the core operations of the Company. In addition, the Company’s management believes excluding the non-cash loss (gain) from changes in the fair value of derivative instruments is useful to investors because the valuation of the derivative instruments is based on a number of subjective assumptions, the amount of the loss or gain is derived from market forces outside of management’s control, and the exclusion of these amounts enables investors to compare the Company’s performance with other companies that do not use, or use different forms of, derivative instruments.

The table below shows GAAP and non-GAAP income (loss) attributable to Clean Energy per share and also reconciles GAAP net loss attributable to Clean Energy to the non-GAAP net income (loss) attributable to Clean Energy figure used in the calculation of non-GAAP income (loss) per share:

Adjusted EBITDA

Adjusted EBITDA, which the Company presents as a non-GAAP measure of its performance, is defined as net income (loss) attributable to Clean Energy, plus (minus) income tax expense (benefit), plus interest expense, minus interest income, plus depreciation and amortization expense, plus Amazon warrant charges, plus stock-based compensation expense, plus (minus) loss (income) from the SAFE&CEC equity method investment, and plus (minus) any loss (gain) from changes in the fair value of derivative instruments. The Company’s management believes Adjusted EBITDA provides useful information to investors regarding the Company’s performance for the same reasons discussed above with respect to non-GAAP income (loss) per share. In addition, management internally uses Adjusted EBITDA to determine elements of executive and employee compensation.

The table below shows Adjusted EBITDA and also reconciles this figure to GAAP net loss attributable to Clean Energy:

Definition of “Gallons Delivered”

The Company defines “gallons delivered” as its gallons sold as compressed natural gas (“CNG”) and liquefied natural gas (“LNG”), along with its gallons associated with providing operations and maintenance services, in each case delivered to its customers in the applicable period, plus the Company’s proportionate share of gallons delivered by joint ventures in the applicable period. RNG sold as vehicle fuel is included in the CNG or LNG amounts as applicable based on the form in which it was sold.

The table below shows gallons delivered for the three and nine months ended September 30, 2020 and 2021:

Sources of Revenue

The following table shows the Company's sources of revenue for the three and nine months ended September 30, 2020 and 2021:

2021 Outlook

Our latest 2021 outlook given on August 5, 2021 contemplated an increase in the Amazon warrant charges as a result of the issuance of additional common shares under the Company’s at-the-market offering programs during the second quarter of 2021, assumed no unrealized gains or losses on commodity swap and customer fueling contracts (changes in diesel and natural gas market conditions resulting in unrealized gains or losses on the Company’s commodity swap contracts could significantly affect the Company’s estimated GAAP net loss for 2021) and contemplated a gradual recovery from the COVID-19 pandemic in the second half of 2021. This resulted in an outlook given on August 5, 2021 of estimated GAAP net loss for 2021 of approximately $(86) million, and an expectation of Adjusted EBITDA ranging from $60 million to $62 million. We continue to hold this view of our estimated GAAP net loss and Adjusted EBITDA for 2021 as depicted in the table below. These expectations exclude the impact of any acquisitions, divestitures, new joint ventures, transactions or other extraordinary events including a deterioration in, slower or lack of any recovery from the COVID-19 pandemic. Additionally, the expectations regarding 2021 Adjusted EBITDA assumes the calculation of this non-GAAP financial measure in the same manner as described above and adding back the estimated Amazon warrant charges described above and without adjustments for any other items that may arise during 2021 that management deems appropriate to exclude. These expectations are forward-looking statements and are qualified by the statement under “Safe Harbor Statement” below.

Today’s Conference Call

The Company will host an investor conference call today at 4:30 p.m. Eastern time (1:30 p.m. Pacific). Investors interested in participating in the live call can dial 1.877.300.8521 from the U.S. and international callers can dial 1.412.317.6026. A telephone replay will be available approximately two hours after the call concludes through Saturday, December 4, 2021 by dialing 1.844.512.2921 from the U.S., or 1.412.317.6671 from international locations, and entering Replay Pin Number 10160722. There also will be a simultaneous, live webcast available on the Investor Relations section of the Company’s web site at www.cleanenergyfuels.com, which will be available for replay for 30 days.

About Clean Energy Fuels Corp.

Clean Energy Fuels Corp. is the country’s largest provider of the cleanest fuel for the transportation market. Our mission is to decarbonize transportation through the development and delivery of renewable natural gas (RNG), a sustainable fuel derived from organic waste. Clean Energy allows thousands of vehicles, from airport shuttles to city buses to waste and heavy-duty trucks, to reduce their amount of climate-harming greenhouse gas. We operate a vast network of fueling stations across the U.S. and Canada. Visit www.cleanenergyfuels.com and follow @CE_NatGas on Twitter.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements about, among other things, our fiscal 2021 outlook, our volume growth, customer expansion, production sources, joint ventures, and the benefits of our fuels.

Forward-looking statements are statements other than historical facts and relate to future events or circumstances or the Company’s future performance, and they are based on the Company’s current assumptions, expectations and beliefs concerning future developments and their potential effect on the Company and its business. As a result, actual results, performance or achievements and the timing of events could differ materially from those anticipated in or implied by these forward-looking statements as a result of many factors including, among others: the COVID-19 pandemic and the measures taken to prevent its spread and the related impact on our operations, liquidity and financial condition; the willingness of fleets and other consumers to adopt natural gas as a vehicle fuel, and the rate and level of any such adoption; the Company’s ability to capture a substantial share of the market for alternative vehicle fuels and vehicle fuels generally and otherwise compete successfully in these markets; the potential adoption of government policies or programs or increased publicity or popular sentiment in favor of other vehicle fuels; the market’s perception of the benefits of RNG and conventional natural gas relative to other alternative vehicle fuels; natural gas vehicle and engine cost, fuel usage, availability, quality, safety, convenience, design, performance and residual value, as well as operator perception with respect to these factors, in general and in the Company’s key customer markets, including heavy-duty trucking; the Company’s ability to manage and grow its RNG business, including its ability to procure adequate supplies of RNG and generate revenues from sales of such RNG; the Company and its suppliers’ ability to successfully develop and operate projects and produce expected volumes of RNG; the potential commercial viability of livestock waste and dairy farm projects to produce RNG; the Company’s history of net losses and the possibility the Company incurs additional net losses in the future; the Company’s and its partners’ ability to acquire, finance, construct and develop other commercial projects; the Company’s ability to invest in hydrogen stations or modify its fueling stations to reform its RNG to fuel hydrogen and electric vehicles; the Company’s ability to realize the expected benefits from the commercial arrangement with Amazon and related transactions; future supply, demand, use and prices of crude oil, gasoline, diesel, natural gas, and other vehicle fuels, including overall levels of and volatility in these factors; changes in the competitive environment in which we operate, including potentially increasing competition in the market for vehicle fuels generally; the Company’s ability to manage and grow its business of transporting and selling CNG for non-vehicle purposes via virtual natural gas pipelines and interconnects, as well as its station design and construction activities; construction, permitting and other factors that could cause delays or other problems at station construction projects; the Company’s ability to execute and realize the intended benefits of any acquisitions, divestitures, investments or other strategic relationships or transactions; future availability of and our access to additional capital, which may include debt or equity financing, in the amounts and at the times needed to fund growth in the Company’s business and the repayment of its debt obligations (whether at or before their due dates) or other expenditures, as well as the terms and other effects of any such capital raising transaction; the Company’s ability to generate sufficient cash flows to repay its debt obligations as they come due; the availability of environmental, tax and other government regulations, programs and incentives that promote natural gas, such as AFTC, or other alternatives as a vehicle fuel, including long-standing support for gasoline- and diesel-powered vehicles and growing support for electric and hydrogen-powered vehicles that could result in programs or incentives that favor these or other vehicles or vehicle fuels over natural gas; the Company’s ability to comply with various registration and regulatory requirements related to its RNG projects; the effect of, or potential for changes to greenhouse gas emissions requirements or other environmental regulations applicable to vehicles powered by gasoline, diesel, natural gas or other vehicle fuels and crude oil and natural gas fueling, drilling, production, transportation or use; the Company’s ability to manage the safety and environmental risks inherent in its operations; the Company’s compliance with all applicable government regulations; the impact of the foregoing on the trading price of the Company’s common stock; and general political, regulatory, economic and market conditions.

Investor Contact:
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News Media Contact:
Raleigh Gerber
Director of Corporate Communications
949.437.1397

SHANGHAI--(BUSINESS WIRE)--#china--The China International Import Expo (CIIE), the first national-level import-themed professional trade fair in the world, successfully kicked off at the National Exhibition and Convention Center (Shanghai) on Nov 5, 2021. Initiated by the Chinese government since 2018, the CIIE continues to serve as an important platform for the nation’s opening-up and enhancing international economic cooperation and free trade.

The CIIE has over the years become more well-organized, professional, and digital.

Featuring a wider range of industries, the fourth CIIE has attracted 3,000 offline exhibitors from 127 countries and regions to take part in the Business Exhibition. Three international organizations and 58 countries from five continents, especially those involved in the Belt and Road Initiative, are participating in the Online Country Exhibition.

The Business Exhibition comprises exhibition areas Food and Agricultural Products, Automobile, Intelligent Industry & Information Technology, Consumer Goods, Medical Equipment & Healthcare Products, and Trade in Services. Thirteen themed subsections have been set up to showcase the latest products and innovations related to low-carbon energy and environmental protection.

The total exhibition area was expanded to 366,000 square meters. More than 80 percent of Fortune Global 500 and industry-leading companies from last year’s CIIE are returning for this latest edition and will showcase products that are making either their global or regional debuts. These companies include the world’s top three auction houses, top three fashion and luxury consumable groups, top four grain traders, top 10 automobile groups, and top 10 medical device enterprises.

More businesses from countries along the Belt and Road, Central and Eastern European countries, and LDCs have also signed up for the exhibition.

This year marks the 20th anniversary of China’s accession to the World Trade Organization. To mark this occasion, the Hongqiao International Economic Forum will be holding a high-level forum themed “Mutual Benefit and Win-Win Solution for a Shared Future” to showcase China’s achievements in opening up 20 years and its confidence in fulfilling its higher-level opening-up goal. The forum will also publish the “World Opening Index” which evaluates the degree of opening-up in 129 world economies since 2008.

At this critical juncture in the global fight against COVID-19 and world economic recovery, CIIE would demonstrate China's determination to promote sustainable world economic development, globalization and build a new development paradigm for its economy and society.

Nie Qingxin
Tel.: 0086-21-67008870/67008988

MIDLAND, Texas--(BUSINESS WIRE)--Colgate Energy Partners III, LLC (the “Company” or “Colgate”) announced today that it has entered into a definitive agreement with an undisclosed seller to purchase approximately 22,000 net acres directly offset Colgate’s existing position in Eddy and Lea Counties for $190 million, subject to customary closing adjustments. Colgate expects to finance the acquisition through a combination of cash on hand, borrowings on its revolver and/or other potential debt financing. The effective date of the transaction is September 1, 2021 and closing is expected to occur in Q1 of 2022.

Transaction Highlights

• ~22,000 net acres in Eddy and Lea Counties, the majority of which is directly offset Colgate’s legacy Parkway operating area
  • The acquired acreage has an average 8/8ths net revenue interest of over 80%
  • Acreage is over 95% operated with a ~78% average working interest
  • Current estimated average net daily production of ~750 Boepd
• Colgate’s 11 offset drilled and completed wells have seen extremely robust performance metrics:
  • Average 30/day IP of ~3,600 boe/d⁽¹⁾
  • Average 6-Mon CUM oil production of 250k bbls/10K’
  • Average cash-on-cash well level payout in approximately 4 months
• Adds over 200 high-quality locations that complement Colgate’s existing inventory
• Complements Colgate’s existing portfolio by adding high NRI, high IRR inventory for near term development

Pro Forma Business Highlights

• ~108,000 net acres located primarily in Reeves, Ward and Eddy Counties
• Estimated current net daily production of ~62,000 Boepd
• Currently running 5 rigs

James Walter, Co-CEO of Colgate, commented “Building on the transformative transactions completed earlier this year in Texas, this New Mexico acquisition adds to Colgate’s position as one of the premier private operators in the Permian Basin. Our focus when making acquisitions continues to be adding highly economic inventory that will drive enhanced returns and free cash flow while maintaining low leverage. Colgate’s strong balance sheet and ample liquidity allows us to execute a cash transaction of this size while continuing to target 2022 leverage of less than 1.0x.”

Will Hickey, Co-CEO of Colgate, added “The acquisition of this high-quality asset base adds to our existing inventory in the Northern Delaware Basin where we have recently drilled some of the best wells in the Company’s history. Given the depth of our current inventory, we have a very high bar for acquisitions and this one was just too good to pass up. We are excited to allocate rig activity to these properties next year.”

About Colgate

Colgate is a privately held, independent oil and natural gas company headquartered in Midland, Texas that is engaged in the acquisition, exploration and development of oil and natural gas assets in the Delaware Basin, with operations principally focused in Reeves County, Ward County, and Eddy County. For more information regarding Colgate, please visit our Investor Relations website at www.colgateenergyir.com.

Forward-Looking Statements

This press release contains forward-looking statements based on Colgate’s current expectations that involve a number of risks and uncertainties. Generally, forward-looking statements do not relate strictly to historical or current facts and may include words such as “believes,” “will,” “expects,” “anticipates,” “intends” or similar words or phrases. No forward-looking statement can be guaranteed. Numerous risks, uncertainties and other factors may cause actual results to differ materially from those expressed in any forward-looking statement. In particular, this press releases includes certain guidance with respect to future production and leverage on a pro forma basis giving effect to this transaction. This forward-looking guidance represents our management’s estimates as of the date of this press release, based on numerous assumptions that are subject to adjustment upon further review, and we undertake no duty to update these estimates in the future. Achieving these estimates will depend on the impacts of COVID-19, the availability of capital, regulatory approvals, commodity prices, drilling and completion costs, actual drilling results, business, economic, competitive, financial and regulatory risks and other factors, many of which are beyond our control. If any of these risks and uncertainties actually occur or the assumptions underlying our guidance are incorrect, our actual operating results may be materially and adversely different from our guidance.

(1) Average 30/day IP rate normalized to 10K foot laterals.

Michael Poynter
Vice President of Finance & Investor Relations
432-695-4222
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PORTLAND, Ore.--(BUSINESS WIRE)--Northwest Natural Holding Company, (NYSE: NWN) (NW Natural Holdings), reported financial results and highlights including:

• Reported a net loss of $0.67 per share for the third quarter of 2021, compared to a net loss of $0.61 per share from continuing operations for the same period in 2020
• Earned net income of $1.24 per share for the first nine months of 2021 for an increase of $13.7 million or 55%, compared to earnings from continuing operations of $0.80 per share for the same period in 2020
• Added nearly 12,000 natural gas meters in the last 12 months for a growth rate of 1.5% at Sept. 30, 2021
• Invested over $200 million in our utility systems in the first nine months of 2021 for greater reliability and resiliency
• Received Washington rate case order approving a two-year adjustment that combined has an estimated pre-tax earnings benefit of up to $8 million
• Received approval in Oregon and Washington for new rates related to the Purchased Gas Adjustment (PGA) mechanism, which includes estimated gas costs for the upcoming winter heating season
• Launched a competitive renewable energy strategy
• Increased our dividend for the 66^th consecutive year to an annual indicated dividend rate of $1.93 per share
• Reaffirmed 2021 earnings guidance in the range of $2.40 to $2.60 per share

"This quarter highlights our commitment to decarbonization, diversification, and growth," said David H. Anderson, president and CEO of NW Natural Holdings. "We've made significant progress toward procuring RNG for our gas utility customers, demonstrating the critical role our system is playing to help move to a low-carbon, renewable energy future. With our new competitive renewables strategy, we're able to assist a broader group of customers with the energy transition. Our initial partnership and investment represents an exciting first step. I'm proud of our achievements to date and our long-term growth prospects."

For the third quarter of 2021, the net loss increased $2.0 million to a $20.7 million net loss (or $0.67 per share), compared to a net loss from continuing operations of $18.7 million (or $0.61 per share) for the same period in 2020. The third quarter reflects the seasonal nature of the gas utility's earnings where the majority of revenues are generated during the winter heating season in the first and fourth quarters each year. Results reflected higher operations and maintenance expenses and higher depreciation and general tax expenses as we continued to invest in our gas utility system, partially offset by customer growth and new rates in Oregon for our natural gas utility.

Year-to-date net income increased $13.7 million to $38.1 million (or $1.24 per share), compared to $24.5 million (or $0.80 per share) for the same period in 2020. Results reflected customer growth and new rates in Oregon for our natural gas utility, partially offset by higher operations and maintenance expenses, depreciation and general tax expenses. In addition, net income from our other activities increased primarily due to higher asset management revenues.

KEY EVENTS AND INITIATIVES

The after-tax drivers below are based on a statutory tax rate of 26.5%.

Received Order in NW Natural's Washington General Rate Case

On Dec. 18, 2020, NW Natural filed a request for a general rate increase with the Washington Utilities and Transportation Commission (WUTC). Approximately 10% of NW Natural’s revenues are derived from its Washington customers. The original filing included a requested increase in annual revenue requirements over two years to recover operating costs and infrastructure and technology investments. This included a $6.3 million increase in the first year beginning November 1, 2021 (Year One) and a $3.2 million increase in the second year beginning November 1, 2022 (Year Two).

On Oct. 21, 2021, the WUTC issued an order approving the multi-party settlement in NW Natural's general rate case. The order increases the revenue requirement $5.0 million in Year One and up to an additional $3.0 million increase in Year Two. The order includes a cost of capital of 6.814% for both years and rate base of $247.3 million as of November 1, 2022 or an increase of $31.2 million for Year 1 and $21.4 million for Year 2. New rates in Washington were effective beginning Nov. 1, 2021.

Coronavirus (COVID-19)

We estimate the financial effects of COVID-19 in the income statement to be $1.7 million (after-tax) for the first nine months of 2021, compared to approximately $1.3 million (after-tax) for the same period in 2020. The 2021 financial effects include $0.7 million (after-tax) of revenue we expect to recognize in a future period related to forgone late fees. The remaining $1.0 million (after-tax) will not be recovered through rates as it primarily relates to lower natural gas distribution margin from customers that stopped natural gas service, partially offset by management cost savings initiatives.

Utility Renewable Natural Gas (RNG)

NW Natural continues to pursue RNG supply for our customers under the landmark Oregon Senate Bill 98, which supports renewable energy procurement and investment by natural gas utilities. NW Natural has options to invest up to a total estimated $38 million in four separate RNG development projects that will access biogas derived from water treatment at Tyson Foods’ processing plants. Construction on our first RNG facility with BioCarbN and Tyson Foods began this fall with completion and commissioning planned for early 2022. To date, NW Natural has signed agreements with options to purchase or develop RNG for utility customers totaling about 2% of NW Natural’s annual sales volume in Oregon.

NW Natural Renewables Launches Competitive RNG Strategy

NW Natural Renewables is a newly formed and non-regulated subsidiary of NW Natural Holdings committed to leading the energy transition and providing renewable fuels to the utility, commercial, industrial and transportation sectors. NW Natural Renewables is focused on providing cost-effective solutions to decarbonize a variety of sectors utilizing existing waste streams and renewable energy resources.

“The renewables business is a natural progression of the insights and capabilities we’ve gained as a leader addressing the energy transition,” said David H. Anderson, NW Natural Holdings president and CEO. “We have strong confidence in the long-term demand for renewable fuels across the country and across various customer classes. This business represents a significant opportunity for us to add earnings and cash flows in a fast-growing market segment.”

NW Natural Renewables' first project is with EDL, a leading global producer of sustainable distributed energy. We've executed agreements to commit $50 million toward the development of two production facilities that are designed to convert landfill waste gases to RNG and connect gas production to existing regional pipeline networks. We've also executed agreements with EDL designed to secure a 20-year supply of RNG that NW Natural Renewables intends to market primarily under long-term contracts.

Under the agreements, NW Natural Renewables is committed to investing in RNG infrastructure at two U.S. landfills, which are owned and operated by an industry leader in recycling and non-hazardous solid waste disposal. Construction for these projects is planned to begin in early 2022, with substantial completion and commissioning of the first facility anticipated in early 2023 and the second facility in spring 2023. We expect to fund our investment once commercial operations are achieved for each of the projects.

THIRD QUARTER RESULTS

The following financial comparisons are for the third quarter of 2021 and 2020 with individual year-over-year drivers below presented on an after-tax basis using a statutory tax rate of 26.5% unless otherwise noted.

NW Natural Holdings' third quarter results are summarized by business segment in the table below:

Natural Gas Distribution Segment

Natural Gas Distribution segment net loss increased $1.2 million (or $0.04 per share) primarily reflecting higher operations and maintenance and depreciation expenses, partially offset by new rates in Oregon as a result of a general rate case, which was effective beginning Nov. 1, 2020.

Margin increased $4.1 million reflecting new rates in Oregon and customer growth, which collectively contributed $3.7 million.

Operations and maintenance expense increased $3.8 million as a result of higher expenses mainly from contractor and professional service fees for information technology, higher lease expense associated with our new headquarters and operations center, and a comparative benefit related to recording the year-to-date COVID deferral in the third quarter of 2020. Depreciation expense and general taxes increased $1.8 million related to higher property, plant, and equipment as we continue to invest in our system.

YEAR-TO-DATE RESULTS

The following financial comparisons are for the first nine months of 2021 and 2020 with individual year-over-year drivers below presented on an after-tax basis using a statutory tax rate of 26.5% unless otherwise noted.

NW Natural Holdings' year-to-date results are summarized by business segment in the table below:

Natural Gas Distribution Segment

Natural Gas Distribution segment net income increased $9.8 million (or $0.31 per share) primarily reflecting new rates in Oregon as a result of a general rate case, which was effective beginning Nov. 1, 2020.

Margin increased $26.2 million reflecting new rates in Oregon and customer growth, which collectively contributed $27.3 million. This was partially offset by a net $1.1 million loss primarily from the gas cost incentive sharing mechanism as a result of purchasing higher priced gas during a February 2021 cold weather event than what was forecasted for the year in part offset by favorable weather.

Operations and maintenance expense increased $8.5 million as a result of higher expenses mainly from increased employee compensation and benefit costs, higher lease expense associated with our new headquarters and operations center, and contractor, professional service fees and license costs related to information technology system upgrades. Depreciation expense and general taxes increased $7.3 million related to higher property, plant, and equipment as we continue to invest in our system.

Other

Other net income increased $3.9 million (or $0.13 per share) reflecting $5.7 million of higher net income from NW Natural's other activities offset by a loss of $1.8 million from NW Natural Holdings' other activities. For NW Natural, the benefit in other activities was primarily driven by higher asset management revenues from a February 2021 weather event. NW Natural Holding's other activities reported higher costs at the holding company.

BALANCE SHEET AND CASH FLOWS

During the first nine months of 2021, the Company generated $181.7 million in operating cash flows or an increase of $30.9 million compared to the same period in 2020 due to higher net income and lower net working capital requirements. The Company used $203.5 million in investing activities during the first nine months of 2021 primarily for natural gas utility capital expenditures, compared to $226.8 million used in investing activities during the same period in 2020 for utility capital expenditures and the acquisition of several water and wastewater utilities. Net cash provided by financing activities was $14.0 million for the first nine months of 2021. As of September 30, 2021, NW Natural Holdings held cash of $19.5 million.

2021 GUIDANCE

NW Natural Holdings reaffirmed 2021 earnings guidance in the range of $2.40 to $2.60 per share. This guidance assumes continued customer growth, average weather conditions, and no significant changes in prevailing regulatory policies, mechanisms, or outcomes, or significant local, state or federal laws, legislation or regulations.

DIVIDEND DECLARED

The Board of Directors of NW Natural Holdings declared a quarterly dividend of $0.4825 per share on the Company’s common stock. The dividend is payable on Nov. 15, 2021 to shareholders of record on Oct. 29, 2021, reflecting an annual indicated dividend rate of $1.93 per share. Future dividends are subject to Board of Director discretion and approval.

CONFERENCE CALL AND WEBCAST

As previously announced, NW Natural Holdings will host a conference call and webcast today to discuss its third quarter 2021 financial and operating results.

The call will also be webcast in a listen-only format for the media and general public and can be accessed at ir.nwnaturalholdings.com. A replay of the conference call will be available on our website and by dialing 1-877-344-7529 (U.S.), 1-855-669-9658 (Canada), and 1-412-317-0088 (international). The replay access code is 10154467.

ABOUT NW NATURAL HOLDINGS

Northwest Natural Holding Company, (NYSE: NWN) (NW Natural Holdings), is headquartered in Portland, Oregon and has been doing business for over 160 years in the Pacific Northwest. It owns NW Natural Gas Company (NW Natural), NW Natural Renewables Holdings (NW Natural Renewables), NW Natural Water Company (NW Natural Water), and other business interests. We have a longstanding commitment to safety, environmental stewardship and the energy transition, and taking care of our employees and communities.

NW Natural is a local distribution company that currently provides natural gas service to approximately 2.5 million people in more than 140 communities through more than 780,000 meters in Oregon and Southwest Washington with one of the most modern pipeline systems in the nation. NW Natural consistently leads the industry with high J.D. Power & Associates customer satisfaction scores. NW Natural owns and operates 20 Bcf of underground gas storage capacity in Oregon.

NW Natural Water provides water distribution and wastewater services to communities throughout the Pacific Northwest and Texas. NW Natural Water currently serves approximately 66,000 people through about 27,200 connections. Learn more about our water business at nwnaturalwater.com.

Additional information is available at nwnaturalholdings.com.

Forward-Looking Statements

This report, and other presentations made by NW Holdings from time to time, may contain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as "anticipates," "assumes," "intends," "plans," "seeks," "believes," "estimates," "expects" and similar references to future periods. Examples of forward-looking statements include, but are not limited to, statements regarding the following: plans, objectives, assumptions, estimates, expectations, timing, goals, strategies, commitments, future events, investments, capital expenditures, targeted capital structure, risks, risk profile, stability, acquisitions and timing, completion and integration thereof, the likelihood and success associated with any transaction, utility system and infrastructure investments, system modernization, reliability and resiliency, global, national and local economies, customer and business growth, customer satisfaction ratings, weather, performance and service during weather events, customer rates or rate recovery and the timing and magnitude of potential rate changes, environmental remediation cost recoveries, environmental initiatives, decarbonization and the role of natural gas and the gas delivery system, including decarbonization goals and timelines, energy efficiency measures, use of renewable sources, renewable natural gas purchases, projects or investments and timing, magnitude and completion thereof, renewable hydrogen projects or investments and timing, magnitude and completion thereof, procurement of renewable natural gas or hydrogen for customers, technology and policy innovations, strategic goals and visions, the water and wastewater acquisition and investment strategy and financial effects of water and wastewater acquisitions, diversity, equity and inclusion initiatives, operating plans of third parties, financial results, including estimated income, availability and sources of liquidity, expenses, positions, revenues, returns, cost of capital, timing, and earnings and earnings guidance, dividends, commodity costs and sourcing asset management activities, performance, timing, outcome, or effects of regulatory proceedings or mechanisms or approvals, regulatory prudence reviews, anticipated regulatory actions or filings, accounting treatment of future events, effects of legislation or changes in laws or regulations, effects, extent, severity and duration of COVID-19 and resulting economic disruption, the impact of mitigating factors and other efforts to mitigate risks posed by its spread, ability of our workforce, customers or suppliers to operate or conduct business, COVID-19 financial impact, expenses, cost savings measures and cost recovery including through regulatory deferrals and the timing and magnitude thereof, impact on capital projects, governmental actions and timing thereof, including actions to reopen the economy, and other statements that are other than statements of historical facts.

Forward-looking statements are based on current expectations and assumptions regarding its business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Actual results may differ materially from those contemplated by the forward-looking statements. You are therefore cautioned against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future operational, economic or financial performance. Important factors that could cause actual results to differ materially from those in the forward-looking statements are discussed by reference to the factors described in Part I, Item 1A "Risk Factors", and Part II, Item 7 and Item 7A "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Quantitative and Qualitative Disclosure about Market Risk" in the most recent Annual Report on Form 10-K and in Part I, Items 2 and 3 "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Quantitative and Qualitative Disclosures About Market Risk", and Part II, Item 1A, "Risk Factors", in the quarterly reports filed thereafter.

All forward-looking statements made in this report and all subsequent forward-looking statements, whether written or oral and whether made by or on behalf of NW Holdings or NW Natural, are expressly qualified by these cautionary statements. Any forward-looking statement speaks only as of the date on which such statement is made, and NW Holdings and NW Natural undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. New factors emerge from time to time and it is not possible to predict all such factors, nor can it assess the impact of each such factor or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statements.